LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
February 4, 1997
TO: Honorable Bill Ratliff, Chair IN RE: Senate Bill No. 218, Committee Report 1st House
Committee on Finance Ratliff
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on SB218 ( Relating to fees for licensure
as an architect.) this office has detemined the following:
Biennial Net Impact to General Revenue Funds by SB218-Committee Report 1st House
Implementing the provisions of the bill would result in a net impact of $0 to General
Revenue Related Funds through the biennium ending August 31, 1999.
The bill would make no appropriation but could provide the legal basis for an
appropriation of funds to implement the provisions of the bill.
Fiscal Analysis
The bill would remove the upper limit, currently $300, on the examination fee for
architects. It would allow the Texas Board of Architectural Examiners to charge
the fee in an amount that would cover administrative costs, as those costs change.
Methodolgy
The architectural examination fee consists of an administrative fee of $40 and an
exam fee of $485. The total current fee is $525, the maximum allowed under Rider
3, p. VIII-8, of the 1995 General Appropriations Act (GAA). The only manufacturer
of the national exam raised the examination cost to $980 because the exam is now
administered by computer. Because of the cost increase, the board is unable to
administer the exam.
Removing the $300 maximum allowed by statute and the $525 maximum allowed in
the GAA would enable the board to administer the exam and recover the actual
examination costs. The $40 administrative fee has not changed.
The number of examination candidates estimated by the board and multiplied by
the new, higher fee of $1,020 ($980 plus $40) was used to estimate the expected
revenue and cost from the exam fee increase. In the table below, FY1997 reflects
a partial year of exams at the higher rate. For years after FY 1997, the table reflects
the entire fee revenue and cost, rather than the incremental increase, because the
exam would not be administered without the increase
The probable fiscal implications of implementing the provisions of the bill during each
of the first five years following passage is estimated as follows:
Six Year Impact:
Fiscal Year Probable Revenue Probable
Gain/(Loss) from Savings/(Cost)
General Revenue from General
Fund Revenue Fund
0001 0001
1997 $217,307 ($217,307)
1997 731,598 (731,598)
1999 738,914 (738,914)
2000 746,302 (746,302)
2001 753,765 (753,765)
2002 761,303 (761,303)
Net Impact on General Revenue Related Funds:
The probable fiscal implication to General Revenue related funds during each of
the first five years is estimated as follows:
Fiscal Year Probable Net Postive/(Negative)
General Revenue Related Funds
Funds
1997 $0
1998 0
1999 0
2000 0
2001 0
2002 0
Similar annual fiscal implications would continue as long as the provisions of the bill are in effect.
No fiscal implication to units of local government is anticipated.
Source: Agencies:
LBB Staff: JK ,RR ,CG